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HomeMy WebLinkAboutItem 10 - Authorization to apply for 2021-21 Senate Bill 1 (SB1) Grant funds for bus shelters Department Name: Public Works Cost Center: 5201 For Agenda of: February 2, 2021 Placement: Consent Estimated Time: N/A FROM: Matt Horn, Public Works Director Prepared By: Gamaliel Anguiano, Transit Manager SUBJECT: AUTHORIZE APPLICATION FOR THE 2020-21 SENATE BILL 1 (SB1) STATE OF GOOD REPAIR TRANSIT GRANT FOR BUS SHELTERS RECOMMENDATION 1. Adopt a Resolution (Attachment A) authorizing the City Manager to execute and file grant applications with the State of California to receive State of Good Repai r Transit Grant funds for transit projects and to execute any related grant applications, certifications, assurances, forms, agreements, and associated documents on behalf of the City (Attachment B) and to make any budgetary amendments to reflect the grant funding; and 2. Approve a budget amendment to reflect these grant funds, if awarded; and 3. Approve use of California Association of Coordinated Transit’s Cooperative Purchase Agreement for to purchase selected vendor’s bus shelters at a reduced cost. DISCUSSION Background The State of Good Repair (SGR) program is the result of the passage of SB1 and provides approximately $105 million annually to transit operators in California for eligible transit maintenance, rehabilitation, and capital projects. The SGR pr ogram benefits the public by providing public transportation agencies with a consistent and dependable revenue source to invest in the upgrade, repair, and improvement of agency transportation infrastructure. In collaboration with the State Controller’s Office, Caltrans is tasked with the management and administration of the SGR program. SGR Capital Project Eligibility The SGR program provides funding for capital assistance to rehabilitate and modernize California’s local transit systems. Specifically, eligible projects include: 1. Fleet Maintenance. Transit capital projects or services to maintain or repair a transit operator’s existing transit vehicle fleet or transit facilities, including the rehabilitation or modernization of the existing vehicles or facilities. 2. Fleet New. The design, acquisition, and construction of new vehicles or facilities that improve existing transit services. Item 10 Packet Page 101 3. Infrastructure. Transit services that complement local efforts for repair and improvement of local transportation infrastructure. Projects that solely expand capacity or service are not eligible projects. However, onetime costs associated with expansion of capacity (for example replacing a maintenance facility with a larger facility or replacing a bus with a larger bus) are eligible. Defined (Allocated) Portion of SGR Funds Each regional agency and transit operator are entitled to a portion of SGR funds identified by a statewide formula. These funds are allocated annually under the State Transit Assistance (STA) program formula to eligible agencies pursuant to Public Utilities Code (PUC) section 99312.1. The City receives a portion of these funds based on population and transit operator revenues. In Fiscal Year (FY) 2020-21, SLO Transit received $8,438 of funding from this program and the same level of funding is anticipated for FY 2021-22. Discretionary Portion of SGR Funds The second part of SGR assistance is a competitive, discretionary grant process for capital purchases. The regional discretionary and operator SGR amounts for FY 2021-22 are unknown at this time as the State Controller’s Office has yet to release its allocation list. SGR funding was approximately $439,034 for the SLOCOG region in FY 2020-21 (see table) and is expected to be similar for FY 2021-22. The SGR program requires an annual grant application for both allocated and discretionary amounts. City SGR Discretionary Grant for the Purchase of Bus Shelters Staff is recommending that this year’s FY 2021-22 SGR grant application be made for a total amount of $90,000 in combined discretionary ($81,519) and allocated amounts ($8,481) for the replacement and installation of seven (7) older bus shelters that have met the end of their useful life. The SLO Transit system has approximately forty-nine (49) bus shelters and over 235 bus stops and many of the existing shelters using a concrete pad are older models with glass panels that are past their useful life and are subject to graffiti and vandalism. Glass replacement for the older models is an ongoing expense due to vandalism. This SGR funding will deliver approximately seven (7) new shelters to replace or be installed at new locations that are considered high boarding locations. Locations for these new shelters have been identified as bus stop located at: 1. Madonna Rd at Madonna Plaza; 2. South Street at Parker Street; 3. South Higuera at Prado Road; 4. Foothill Boulevard at Narrow Court (both sides of the street); and 5. Los Osos Valley Road at Valle Vista Place (both sides of the street). Item 10 Packet Page 102 Shelters are recognized as valuable investment and are shown to improve rider experience and thus increase ridership. Project costs include replacement or expanded concrete pads if a larger replacement shelter is installed or the existing pad is damaged or worn. Piggyback Purchase from CALAct Consortium The City of San Luis Obispo is a member of the California Association for Coordinated Transportation (CalACT). As a member, the City can “piggyback” or use CalACT’s Cooperative Purchase Agreement to obtain bus shelters at a reduced cost. Policy Context Financial Management Manual Policy 740 requires that the City Council approve grant applications equal to or greater than $5,000. The application will request up to the maximum in combined City-allocated and available discretionary competitive award amounts towards capital purchases that meet grant criteria with the exact amount to be known upon State Controller Office allocations. The City’s Municipal Code Section 3.24.060(E) allows for direct purchasing when the purchase will be made cooperatively with one, or more, other units of government. Public Engagement Development of this SGR project is based on the data and customer survey information gathered during the City's adopted 2017-22 Short Range Transit Plan (SRTP) and City’s Climate Action Plan. A considerable public outreach campaign was done prior to the development and adoption of the SRTP. Additionally, the City’s sustainability and climate action plan goals looks towards improving transit ridership which can be achieved by supporting transit infrastructure needs. CONCURRENCE This proposed SGR project has been reviewed by the Finance, City Attorney and City Administration and San Luis Obispo Council of Governments before submission to City Council. ENVIRONMENTAL REVIEW No environmental review is required for grant submittals, per section 15061(b)(3) General Rule of the CEQA Guidelines. It can be seen with certainty that the proposed action of the City to apply for grant funding will have no significant effect on the environment. FISCAL IMPACT Budgeted: Yes Budget Year: FY 2019-20 Funding Identified: Yes Item 10 Packet Page 103 Fiscal Analysis Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost Transit Fund State – SB1 Discretionary $81,519* State – SB1 Direct $8,481 Other: Total $90,000 There is no impact on the City’s General Fund as a result of applying or receiving these grant funds. Rather, securement of these funds will assist the Transit Enterprise Fu nd to achieve Capital Project priorities. ALTERNATIVES Deny the request. This is not recommended as this request is strategic to a larger funding initiative for electrifying the City’s transit operations. Attachments: a - Draft Resolution b - SB1 Recipient Certifications and Assurances Item 10 Packet Page 104 R ______ RESOLUTION NO. _____ (2021 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AUTHORIZING THE CITY MANAGER OR THEIR DESIGNEE TO APPLY, EXECUTE AND FULFILL ANY RELATED CALIFORNIA STATE OF GOOD REPAIR TRANSIT GRANT PROGRAM APPLICATIONS, CERTIFICATIONS, ASSURANCES, FORMS, AGREEMENTS, AND ASSOCIATED DOCUMENTS ON BEHALF OF THE CITY WHEREAS, California Senate Bill 1 (2017) establishes the State of Good Repair Transit Grant (SGR) program; and WHEREAS, the SGR program provides approximately $105 million annually to transit operators in California for eligible transit maintenance, rehabilitation and capital projects; and WHEREAS, the statutes related to state-funded transit projects require a local or regional implementing agency to abide by various regulations; and WHEREAS, Senate Bill 1 (2017) named the Department of Transportation (Department) as the administrative agency for the SGR; and WHEREAS, the Department has developed guidelines for the purpose of administering and distributing SGR program funds to eligible project sponsors; and WHEREAS, the City of San Luis Obispo (“City”) is an eligible project sponsor and wishes to receive funding from the SGR program for transit projects; and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of San Luis Obispo as follows: SECTION 1. The City Council hereby authorizes the City Manager, or their designee, to file, execute and fulfill any related State of Good Repair Transit Grant program applications, certifications, assurances, forms, agreements, and associated documents on behalf of the City. Item 10 Packet Page 105 Resolution No. _____ (2021 Series) Page 2 R ______ SECTION 2. Environmental Determination. No environmental review is required for grant submittals, per section 15061(b)(3) General Rule of the CEQA Guidelines. It can be seen with certainty that the proposed action of the City to apply for grant funding will have no significant effect on the environment. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2021. ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ____________________________. ____________________________________ Teresa Purrington City Clerk Item 10 Packet Page 106 City of San Luis Obispo Page 1 State Transit Assistance State of Good Repair Program Recipient Certifications and Assurances Recipient: City of San Luis Obispo Effective Date: May 21st, 2021 In order to receive State of Good Repair Program (SGR) funds from the California Department of Transportation (Department), recipients must agree to following terms and conditions: A. General (1) The recipient agrees to abide by the State of Good Repair Guidelines as may be updated from time to time. (2) The potential recipient must submit to the Department a State of Good Repair Program Project List annually, listing all projects proposed to be funded by the SGR program. The project list should include the estimated SGR share assigned to each project along with the total estimated cost of each project.. (3) The recipient must submit a signed Authorized Agent form designating the representative who can submit documents on behalf of the recipient and a copy of the board resolution authorizing the agent. B. Project Administration (1) The recipient certifies that required environmental documentation will be completed prior to expending SGR funds. The recipient assures that each project approved for SGR funding comply with Public Resources Code § 21100 and § 21150. (2) The recipient certifies that SGR funds will be used for transit purposes and SGR funded projects will be completed and remain in operation for the estimated useful lives of the assets or improvements. (3) The recipient certifies that it has the legal, financial, and technical capacity to deliver the projects, including the safety and security aspects of each project. Item 10 Packet Page 107 City of San Luis Obispo Page 2 (4) The recipient certifies that there is no pending litigation, dispute, or negative audit findings related to any SGR project at the time an SGR project is submitted in the annual list. (5) Recipient agrees to notify the Department immediately if litigation is filed or disputes arise after submission of the annual project list and to notify the Department of any negative audit findings related to any project using SGR funds. (6) The recipient must maintain satisfactory continuing control over the use of project equipment and/or facilities and will adequately maintain project equipment and/or facilities for the estimated useful life of each project. (7) Any and all interest the recipient earns on SGR funds must be reported to the Department and may only be used on approved SGR projects or returned to the Department. (8) The recipient must notify the Department of any proposed changes to an approved project list by submitting an amended project list. (9) Funds will be expended in a timely manner. C. Reporting (1) Per Public Utilities Code § 99312.1 (e) and (f), the recipient must submit the following SGR reports: a.Annual Expenditure Reports within six months of the close of the fiscal year (by December 31st) of each year. b.The annual audit required under the Transportation Development Act (TDA), to verify receipt and appropriate expenditure of SGR funds. A copy of the audit report must be submitted to the Department within six months of the close of each fiscal year in which SGR funds have been received or expended. D. Cost Principles (1) The recipient agrees to comply with Title 2 of the Code of Federal Regulations Part 200, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments. (2) The recipient agrees, and will assure that its contractors and subcontractors will be obligated to agree, that (a) Contract Cost Principles and Procedures, 48 CFR, Federal Acquisition Regulations System, Chapter 1, Part 31, et seq., shall be used to determine the allowability of individual project cost items and (b) those parties shall Item 10 Packet Page 108 City of San Luis Obispo Page 3 comply with Federal administrative procedures in accordance with 2 CFR, Part 200, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments. (3) Any project cost for which the recipient has received payment that are determined by subsequent audit to be unallowable under 2 CFR, Part 200, are subject to repayment by the recipient to the State of California (State). Should the recipient fail to reimburse moneys due to the State within thirty (30) days of demand, or within such other period as may be agreed in writing between the Parties hereto, the State is authorized to intercept and withhold future payments due the recipient from the State or any third-party source, including but not limited to, the State Treasurer and the State Controller. E. Record Retention (1) The recipient agrees, and will assure that its contractors and subcontractors shall establish and maintain an accounting system and records that properly accumulate and segregate incurred project costs and matching funds by line item for the project. The accounting system of the recipient, its contractors and all subcontractors shall conform to Generally Accepted Accounting Principles (GAAP), enable the determination of incurred costs at interim points of completion, and provide support for reimbursement payment vouchers or invoices. All accounting records and other supporting papers of the recipient, its contractors and subcontractors connected with SGR funding shall be maintained for a minimum of three (3) years from the date of final payment and shall be held open to inspection, copying, and audit by representatives of the State and the California State Auditor. Copies thereof will be furnished by the recipient, its contractors, and subcontractors upon receipt of any request made by the State or its agents. In conducting an audit of the costs claimed, the State will rely to the maximum extent possible on any prior audit of the recipient pursuant to the provisions of federal and State law. In the absence of such an audit, any acceptable audit work performed by the recipient’s external and internal auditors may be relied upon and used by the State when planning and conducting additional audits. (2) For the purpose of determining compliance with Title 21, California Code of Regulations, Section 2500 et seq., when applicable, and other matters connected with the performance of the recipient’s contracts with third parties pursuant to Government Code § 8546.7, the recipient, its contractors and subcontractors and the Department shall each maintain and make available for inspection all books, documents, papers, accounting records, and other evidence pertaining to the performance of such contracts, including, but not limited to, the costs of administering those various contracts. All of the above referenced parties shall make such materials available at their respective offices at all reasonable times during the entire project period and for three (3) years from the date of final payment. The State, the California State Auditor, or any duly authorized representative of the State, shall each have access to any books, records, and documents that are pertinent to a Item 10 Packet Page 109 City of San Luis Obispo Page 4 project for audits, examinations, excerpts, and transactions, and the recipient shall furnish copies thereof if requested. (3)The recipient, its contractors and subcontractors will permit access to all records of employment, employment advertisements, employment application forms, and other pertinent data and records by the State Fair Employment Practices and Housing Commission, or any other agency of the State of California designated by the State, for the purpose of any investigation to ascertain compliance with this document. F.Special Situations (1)Recipient acknowledges that if a project list is not submitted timely, the recipient forfeits its apportionment for that fiscal year. (2)Recipients with delinquent expenditure reports may risk future eligibility for future SGR funding. (3)Recipient acknowledges that the Department shall have the right to perform an audit and/or request detailed project information of the recipient’s SGR funded projects at the Department’s discretion from SGR award through 3 years after the completion and final billing of any SGR funded project.. Recipient agrees to provide any requested project information. I certify all of these conditions will be met. Agency: City of San Luis Obsipo BY: Derek Johnson, City Manager Item 10 Packet Page 110 City of San Luis Obispo Page 5 ATTACHMENT I (INSERT Agency Board Resolution approving this document) Item 10 Packet Page 111 BLANK PAGE This page is intended to be blank so that you can print double-sided. Item 10 Packet Page 112